Please help. This is a 4 part question that needs to be on the word doc.

\fQuestion 13 5 pts Let's go back to the fall of 2008 when we were at the height of the financial crisis. Pretend you are steering the cruise ship and your goal is to keep interest rates steady in the money market. For simplicity, we hold the price level fixed at 1 and assume that inflationary expectations are fixed at 2%. Initial Conditions before the fall of 2008 mm = money multiplier = 1.6 MB = monetary base = 1100 Money Demand Md = PX [ ao + .5 (Y) - 200 (1) ] Ma = 1 X [ 200 + .5 (3500) - 200 () ] Solve for the money market clearing rate of interest (show your work on your exam sheet). Now draw a money market diagram labeling this initial equilibrium in the money market as point A on your exam sheet. NOTE: This work is to be done using the Exam Sheet 2 Part 3 B _& . You will upload this work, along with other work to be done on this sheet, to question #17 on this exam. Enter the word "Finished" into the text-box below when ready to move on.Question 14 5 pts We now experience a shock to the money multiplier so that the new value of the money multiplier is now 0.8. Given that we are in the fall of 2008, what caused such a shock to the money multiplier? NOTE: You need to answer this question fully in the text-box located below. Be complete with your answers. This question is worth 5 points! Edit View Insert Format Tools Table 12pt * Paragraph * B I U A BY T 2 v B V BY EV EV . . .Question 15 5 pts In addition to the shock to the money multiplier as in Question 14, we experience two more shocks that influence the money demand curve: The new, money demand curve is now equal to: Ma = 1 X [ 500 + .5 (3300) - 200 (i) ] Explain why we would expect this to happen to the money demand function during the fall of 2008. Be sure to discuss both of the shocks to money demand. NOTE: You need to answer this question fully in the text-box located below. Be complete with your answers. This question is worth 5 points!Question 16 5 pts Given that your job is to keep interest rates constant at their level in Question 13, what must you do in terms of open market operations given the shock to the money multiplier and the two shocks to money demand? Show all your work on your exam sheet. Label this point as point B on the diagram on your exam sheet. NOTE: This work is to be done using the Exam Sheet 2 Part 3 B _& . You will upload this work, along with other work to be done on this sheet, to question #17 on this exam. Enter the word "Finished" into the text-box below when ready to move on. Edit View Insert Format Tools Table